Deloitte settles Adelphia claims

Deloitte & Touche, once the auditor of Adelphia Communications Corp., agreed to pay $167.5 million to creditors of the defunct company to settle a malpractice lawsuit.

New York-based Deloitte was sued in Pennsylvania state court in November 2002 and linked to the financial fraud that pushed the cable television company into bankruptcy protection that year.

The suit was transferred to Adelphia’s creditors as part of the company’s plan to complete its bankruptcy this year.

A judge must approve the agreement.